Update 4-10-15: Revel owner faces daily fines for code infraction – fire suppression system without power (see below)
Florida Real Estate developer Glenn Straub finally secured ownership of the Revel Casino on the 7th of April when the bankruptcy court approved the sale after several set backs. Straub’s team will have their work cut out as their immediate challenge will be in dealing with ACR Energy Partners decision to shut down power to the former casino starting from the 9th of April.
The former Revel Casino had collaborated with ACR Energy Partners to custom build a power plant within the casino as it was the only source of power for the casino. The expenses incurred in running and maintaining this power plant each month amounted to millions and Straub was not prepared to continue with this arrangement. Straub’s legal representatives stated that the power plant had not contacted them or informed them of their decision to stop supplying power.
Timothy Lowry, a lawyer for ACR, said Thursday morning, “This is the last thing we want,” “But this guy … I don’t know what to believe. He wants us to provide free power. Glenn Straub doesn’t want to pay anything. He bought Showboat and he thinks he’s going to be sending sea turtles down the Boardwalk with electrical cords.”
Before the power was turned off, Straub told The Associated Press, “Batteries for the emergency exits last about three hours,” “After that, they better get their checkbook out and pray there’s not another Chicago fire. The Fire Department’s hook and ladder won’t go up that high. To try to blackmail what we are starting for the season in May isn’t fair.”
Reports indicate the two sides had been negotiating over costs to keep the $2 billion building connected.
Update 4-10-15:
Revel owner faces daily fines for code infraction – fire suppression system without power
According to reports in the Associated Press today Atlantic City will fine the new owner of the Revel building every day that power is not provided to the building. At over 700 feet tall, Revel is the second tallest building in New Jersey and firefighter would have no way to reach the upper floors, nor would they have water to suppress a fire.
Power and water were supplied to the building from the ACR physical plant that disconnected services early Thursday afternoon.
Straub is quoted as saying that the action gave him, “a bad taste in my mouth about government. If they turn us away, we’ll go spend our money someplace else. I can very easily go back to Miami and be busy down there. They ought to be fining the people that caused this, not the person who just walked through the door.”
Straub purchased the shuttered Showboat Atlantic City casino a week ago in hopes of connecting Revel to the city’s utility grid through that property. He is also working on getting portable generator trucks to the property, which could take several days.